CEO Blog

Written by Ravindra Bhagwanani on . Posted in News

But there will be inevitably another fallout of the government-imposed travel restrictions as many airlines were in a weak position already before the crisis and are unlikely to survive it. Think of any airline with a strong exposure to the primarily concerned markets such as China, Italy or the Transatlantic and you get the picture. While bigger airline groups like Lufthansa, Air France KLM or British Airways will be strong enough to weather the storm, Alitalia is certainly not the only carrier in danger of immediate extinction. Look at the likes of Icelandair or La Compagnie with their heavy/exclusive dependence on Transatlantic traffic or somebody like troubled Norwegian and you understand the challenge. Unless such carriers get massive state aids (what is not impossible in these extraordinary circumstances), many airlines may face extinction. This would not only result in a loss of any loyalty points with these programs – but also in a more consolidated market after the crisis, what won’t push the remaining players to make their programs more attractive. Ultimately, there can only be losers in this situation and it is the responsibility of each and everybody to counteract that negative tendency by applying a minimum of rationalism. #dontstopflying